Malaysia legislation

Section 12

of Land Custody and Development Authority Ordinance, 1981 ( Ord. No. 4/81 )

Section 12

⎯(1)

Where consent of the owners of land in a

Development Area has been obtained and upon the due execution of the Development Agreement by the owners of the land and the

Authority and any other persons who may be parties thereto, the

Authority or any person authorized by the Authority shall be entitled to enter upon and remain in occupation of any land over which consent has been given within the Development Area for the purposes of developing the same and carry out all activities incidental thereto, in accordance with the Development

Agreement and the scheme or plan approved by the Government for the development of the Development Area.

(2)

In the development of the land described in subsection

(1)

and in carrying out all activities incidental thereto, the

Authority shall be deemed to be an agent of the Government and the provisions of section 29(2) of the Government Proceedings

Act 1956 [Act 359] shall apply to the Authority.

(3)

Where there is any dispute or difference between any of the parties to any Development Agreement, such dispute or difference shall be resolved in the manner as follows―

(a)

by mediation to be undertaken by a person, who is qualified to act as Mediator, appointed by the State

Attorney-General after consultation with the relevant parties to the Development Agreement;

(b)

(i)

If the Mediator appointed pursuant to paragraph (a) shall certify that the dispute or difference cannot be resolved by him, such dispute or difference shall be referred to arbitration in accordance with the provisions of the Arbitration Act 2005 [Act 646].

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Ord. No. 4/81

(ii)

The Arbitrator shall be appointed by the

Director of the Kuala Lumpur Regional Centre for

Arbitration, and the Arbitrator’s decision shall be final and binding upon the parties.

(4)

The provisions of subsection (3) shall be deemed to have been incorporated into and form an integral part of any Development

Agreement whether the Development Agreement was entered into before or after the date of coming into force of the provisions of subsection (2).

(5)

Any action, claim, suit or proceedings filed in any court of law after the date of coming into force of this section, without compliance with the provisions pertaining to mediation and arbitration under subsection (3), shall be stayed.

[Sub. Cap. A150/2011]

Power to vest

Section 12 — Land Custody and Development Authority Ordinance, 1981 ( Ord. No. 4/81 )